Cisco exec says vehicle big data has a value of $1,400 per year

Article by Anita Panait, on August 10, 2013

Big data -- referring to a massive collection of data that has become difficult to process through traditional database tools and applications – has invaded the world of automotive. Andreas Mai, director of product management at Cisco Systems Inc., recently revealed that the big data generated by a connected car is worth a cumulative $1,400 annually per vehicle to the motorist, carmaker, society and service providers. How did he come up with such amount?

Around $550 is saved by the motorist through achieving better fuel economy, spending less time stuck in traffic, and getting lower insurance rates. Around $300 is saved by carmakers through lower warranty costs and profitable apps. Around $420 is saved by the society by employing car platoons to speed up traffic and increase a road's capacity. Around $150 can be earned by service providers by providing traffic guidance, navigation, parking as well as emergency services.

But Mai acknowledge some privacy issues involved with big data generated from cars, as there is a question of whether motorists would allow carmakers to use their vehicle data. Mai, however, believes that motorists would agree to share their data if they could gain from it, for instance, getting lower insurance rates if they share data with their insurer.

Mai said that a survey commissioned by Cisco showed that around 74 percent of motorists were willing to share vehicle data. But access to these data should be sorted out since it is likely that carmaker would share them with other company. Mai remarked that rules are needed on who owns that data, who is most likely the consumer, since he purchased the car.

If you liked the article, share on:

Comments

Recommended

In September 27, 2016, Porsche initially filed for a patent that is the “Unique Active Rear Diffuser”. And earlier this week, on April 27, 2017, the United States Patent and...
by - April 29, 2017
The Insurance Institute for Highway Safety (IIHS) has given its Top Safety Pick+ award to the redesigned version of the 2017 Kia Cadenza. This was a result of excellent a...
by - April 29, 2017
It’s pretty neat if you possess something of an extraordinary breed like, say, the Pagani Huayra. There are after all just a total of 100 units ever been built by...
by - April 28, 2017
If you’ve ever visited an arcade, chances are you have already seen a Logitech G920 wheel. If that doesn’t ring a bell, it’s the steering wheel that you use when...
by - April 28, 2017
Toyota Motor Corporation disclosed that it will be bringing two of its Mirai fuel cell vehicles to China by October of this year. Tests will then be conducted on these...
by - April 28, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries